This is to inform you that Tata Technologies has set the price band of its initial public offer around 47 percent lower than its price in the unlisted market, at Rs 475-500 per share. Yes, you heard it right, Tata Technologies set the IPO between Rs 475 and Rs 500, whereas it is trading at Rs 950 per share in the unlisted market. Speaking of the size of the IPO, the size of Tata Motors’ arm’s IPO at the upper end of the price band will stand at Rs 3,042.5 crore, while the company will be valued at Rs 20,283 crore. Many have been scrounging the weblogs to get all the imperative details of Tata Technologies IPO, but we have made it simple for our readers by pouring in everything that you need to know. Swipe down the page.
What is the minimum IPO lot size of Tata Technologies? Reports have suggested that the minimum lot size is 30 shares for an application. As mentioned, the price is about 47 percent lower than its price in the unlisted market where the stock is currently trading at Rs 950 per share. As per the sources, the launch of Tata Technologies’s initial public offering is scheduled for November 22 and it will close on November 24. In the past two decades, this will be the first maiden share sale by a Tata group firm. In 2004, Tata Consultancy Services was the last IPO from India’s most valuable conglomerate. Swipe down the page for more details.
According to the latest RHP (Red Herring Prospectus), the IPO will consist of an offer for 60.85 million shares sale. The selling shareholders include Alpha TC Holdings 9.72 million shares, or 2.4 percent, Tata Motors to divest 46.3 million shares, or 11.41 percent stake, and Tata Capital Growth Fund 4.86 million shares, or 1.2 percent. Nevertheless, Tata Tech has cut its IPO size by more than a third.
In March, the company filed its draft RHP with market regulator Sebi, when it had contemplated selling 23.6 percent equity or 95.71 million shares. Back then, Tata Motors had thought to sell 81.33 million shares. The shares to be divested by Tata Capital Growth Fund and Alpha TC remain the same. Tata Technologies’ net worth grew at the end of March 2021 from Rs 2,142.5 crore to Rs 2,853.13 crore at the end of September 2023. Its profit after tax rose at the of March 2023 to Rs 624 crore from Rs 239 crore at the end of March 2021. At the end of September 2023, the profit dropped to Rs 352 crore.